Unions 'will not back spend cuts'

The row over public spending was ratcheting up as union leaders warned Gordon Brown that they will not support cuts.

The Prime Minister is to give his most upbeat assessment of the economy yet by claiming that Britain is "on the road to recovery".

But he will also caution that the situation is still "fragile" and "tough choices" need to be made over finances - pleading with unions not to wreck his plans for balancing the Government's books.

Extracts from Mr Brown's speech to the TUC congress in Liverpool, due to be delivered on Tuesday, were leaked amid growing signs that voters back the Tories' hawkish stance on cutting public spending.

Polls also suggested that most people think David Cameron would get better value for money out of services than Labour. But TUC general secretary Brendan Barber said it was "astonishing" that anyone was suggesting reducing the Government's deficit as a top priority.

"Cut the stimulus off and the economy would go into decline again," Mr Barber warned. "Public spending cuts will provoke a double-quick, double-dip recession.

"Unemployment could well exceed four million and it would take many years before there was any chance of returning to anything like full employment. That would scar for life a whole generation of young people."

Unison general secretary Dave Prentis said: "We want to make sure Labour does not cut public services. The party has to come forward with policies that resonate with working people. The Conservatives cannot say which public services they would cut, but it is clear that communities don't want fewer nurses or carers and they want decent standards in schools."

Labour backbencher Michael Meacher voiced concerns from the left of the parliamentary party, insisting that "misguided" action could wreck the fledgling economic recovery.

"It is disturbing how tamely New Labour has so far succumbed to competing with the Tories about fighting the next election on cuts," he said. "Of course a public accounts deficit of £175-200 billion is very large and has to be greatly reduced over time, but not - repeat, not - by premature swingeing cuts when the recovery, if there is one, is still very precarious and when unemployment, bankruptcies and repossessions are still rising."